What Is the NXTG ETF? A Complete Guide to Returns, Fees, Holdings, and Alternative ETFs
The First Trust Indxx NextG ETF is a passive thematic product that invests in 5G and next-generation technology companies, giving investors exposure to the growth of telecom infrastructure. Theme concentration, fees, and the industry outlook are the key points to check, and comparison with other tech thematic ETFs is a selection criterion. The trading ticker is NXTG.
SubscribeWhat Is the First Trust Indxx NextG ETF?
This is a passive thematic ETF that tracks an index of global companies playing a central role in the research and development of 5G cellular technology and next-generation technology. It diversifies across the telecom infrastructure theme as a whole.
It suits growth-oriented investors who want to bet on the long-term growth of 5G and next-generation communications technology and are willing to accept the volatility that comes with theme concentration.
It is an ETF managed by First Trust using a passive (index-tracking) approach.
How Does the First Trust Indxx NextG ETF Invest?
| Item | Details |
|---|---|
| Tracked Index | 5G & NextG Theme Index |
| Management Style | Passive (index-tracking) |
| Rebalancing Frequency | Periodic (per index rules) |
| Dividend Frequency | Quarterly |
| Expense Ratio | 0.70% |
Following the index rules, the fund selects global companies that are central to the research and development of 5G cellular technology and next-generation technology and that have devoted substantial resources to the field. It provides thematic exposure by diversifying across the 5G ecosystem, which spans telecom equipment, semiconductors, telecom services, and infrastructure.
- Diversified across the 5G and next-generation technology ecosystem
- Exposure to the global telecom infrastructure theme
First Trust Indxx NextG ETF Size and Costs (AUM and Management Fee)
Assets under management (AUM) stand at $531.5M, and the expense ratio is 0.70% per year.
Unlike broad tech ETFs, it is concentrated in the 5G and telecom infrastructure theme, so it is more heavily influenced by telecom investment trends, and given the nature of the theme, volatility tends to be high.
First Trust Indxx NextG ETF Performance and Trends
1-Year Price Performance
Dividend & Yield
52-Week Price Range5G and next-generation communications companies are affected by telecom infrastructure investment, technology demand, and the interest rate environment. They can perform strongly when expectations for expanded telecom investment are high, but volatility may increase during periods of slowing investment or rising interest rates.
Money tends to flow into thematic ETFs when interest in 5G and next-generation communications rises, and it can flow out when concerns grow about slowing telecom investment or a correction in tech stocks.
First Trust Indxx NextG ETF Pros and Cons
Its strength is broad exposure to the 5G and next-generation communications ecosystem, while its weaknesses are theme concentration, volatility, and currency risk from global exposure.
💪 Key Strengths
⚠️ Points to Note
Alternative ETFs and Related Products to the First Trust Indxx NextG ETF
Tech thematic ETFs that invest in the cloud or the Internet of Things have a different focus. For broader tech investment, you can also compare cloud-focused SKYY, broad tech XLK, and Nasdaq 100-based QQQ. They differ in theme, holdings, and fees, so it is best to choose according to your investment perspective.
Peer Comparison ETFs| Ticker | Name | Price | Change | AUM | Total Expense Ratio | Dividend Yield | 1Y |
|---|---|---|---|---|---|---|---|
 PPH | VanEck Pharmaceutical ETF | $119.21 | -0.1% | $1.1B | 0.36% | 1.8% | +28.8% |
 TRFK | Pacer Data and Digital Revolution ETF | $81.15 | -4.3% | $1.0B | 0.49% | 0.03% | +10.9% |
 CLOU | Global X Cloud Computing ETF | $27.35 | -2.4% | $399.3M | 0.68% | - | +13.5% |
 WQTM | WisdomTree Quantum Computing Fund | $25.57 | -2.9% | $291.1M | 0.45% | - | -15.6% |
 ECON | Columbia Research Enhanced Emerging Economies ETF | $32.26 | -0.2% | $289.6M | 0.47% | 1.5% | +15.9% |
Top Holdings| Ticker | Name | Weight | Price | Change | Market Cap | P/E | Dividend Yield |
|---|---|---|---|---|---|---|---|
| CIEN | CIENA Corp | 0.02% | $284.34 | -11.3% | $40.3B | 63.5 | - |
| ASX | ASE Technology Holding CoLtd ADR | 0.03% | $39.17 | -0.8% | $86.5B | 36.9 | 1.66% |
| INTC | Intel Corp | 0.02% | $59.97 | -8.8% | $317.0B | - | 0.07% |
| MU | Micron Technology Inc | 0.03% | $833.59 | -5.8% | $943.1B | 11.2 | 0.09% |
| AMD | Advanced Micro Devices Inc | 0.02% | $466.84 | -7.5% | $762.1B | 119.8 | - |
 STHH | STMicroelectronics NV ADRhedged | 0.02% | $9.81 | +0.5% | $0.0M | - | 2.26% |
| KEYS | Keysight Technologies Inc | 0.02% | $298.94 | -2.7% | $50.9B | 41.2 | - |
| EQIX | Equinix Inc | 0.02% | $993.69 | -2.0% | $98.4B | 59.7 | 2.08% |
First Trust Indxx NextG ETF Investor Checkpoints
Here are the points to review before investing in NXTG. As a 5G thematic ETF, it is important to check theme concentration, dependence on telecom investment, currency exposure, and fee level in advance.
| Checkpoint | What to Check | Current Status |
|---|---|---|
| 💵 Expense Ratio | Check the cumulative impact of fees on a thematic ETF | Somewhat high |
| 📡 Theme Concentration | Volatility from concentration in the 5G theme | Concentrated exposure |
| 🏗️ Investment Dependence | Check the impact of telecom infrastructure investment trends | Dependent |
| 💱 Currency | Currency impact from global weighting | Not hedged |
Because it is concentrated in the 5G and telecom infrastructure theme, volatility can expand sharply during periods of slowing telecom investment or tech stock corrections. You should also consider that its global weighting exposes it to currency fluctuations.
It is a thematic ETF suited to growth-oriented investors who want to bet on the long-term growth of 5G and next-generation communications technology. If you want broad tech exposure, a tech sector ETF may be the alternative, and if you want to focus on the 5G theme, NXTG could be the alternative.
SubscribeDisclaimer: This content is for informational purposes only and does not constitute investment advice. All investment responsibility lies with the investor.
This article reflects information as of June 4, 2026.
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